Milwaukie planning commission approves vacation rental permit at 3226 Southeast Madison Street

The Milwaukie Planning Commission approved a conditional use permit for a vacation rental at 3226 Southeast Madison Street (file CU-2026-002) during its regular meeting. Commissioners voted 4-0 to adopt staff-recommended findings and conditions of approval.

Planning staff presented the site as a roughly 5,000-square-foot lot in the city’s moderate-density residential (RMD) zone and explained the distinction the city makes between vacation rentals (no occupant on site) and short-term rentals (owner-occupied 270 days or more per year). Staff said the applicant proposed operational limits — restricting group size, enforcing quiet hours, and instructing guests to park on the property’s two-space stacked driveway — and recommended conditions that reflect those practices.

Staff also told the commission that the city has approved eight vacation rentals since 2017 (some later rescinded), representing a very small share of the city’s housing stock (staff referenced a housing-stock estimate the city previously calculated at about 10,500 dwelling units).

Commissioners raised concerns about housing availability but said the numerical impact of this single permit is negligible at present and that the conditions of approval and monitoring provide mitigation. After deliberation a motion to approve CU-2026-002 was made and seconded; roll call recorded votes from Commissioner Steer, Commissioner Sherman, Commissioner Edge and Chair Greathouse in favor. The motion carried 4-0.

Staff noted that anyone wishing to appeal the commission’s decision must file an appeal within 15 days of the mailing of the notice of decision.